# Product Overview ### **💰 Invest and Earn Interest in Pencil Finance** With Pencil Finance, individual and institutional investors can: * **Browse curated loan bundles** created by verified lending partners from around the world. * **Choose from two types of tokens**: * **Senior Tranche (Grow Token)** – Lower risk, fixed return, paid at the end of the staking period. * **Junior Tranche (NFT)** – Higher risk, higher yield, with monthly or quarterly interest payouts. * **Track their portfolio** via a personalized dashboard showing returns, bundle status, token value, and transaction history. * **Withdraw interest or redeem tokens** based on bundle structure and maturity terms. By participating, investors earn competitive yield while helping students access affordable education. ### **🏫 Lend and Raise Funds in Pencil Finance** Verified student loan companies (lending partners) can: * **Tokenize their student loan portfolios** into investable bundles using a transparent, structured process. * **Create bundles** with customizable parameters (total amount, tranche ratio, interest rates, maturity period). * **List bundles** on the Pencil Finance platform to raise funds from a global pool of DeFi investors. * **Manage bundles** through a dedicated dashboard: * Withdraw loan capital as needed * Deposit repayments and interest * Post updates and financial reports Lending companies gain access to **non-dilutive, flexible capital**, reduce dependence on traditional financial intermediaries, and improve trust through transparent repayment tracking on-chain. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://pencil-finance.gitbook.io/pencilfinancedocs/introduction/product-overview.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.